This looks good to me, but does anyone see any problems?

[Joshua Nudell]

Good afternoon everyone,

I received an e-mail from a wholesaler in NJ who has a property under contract in East Orange, NJ 07018.  Here are the details:

Duplex multifamily property 2/1 downstairs, 3/1 upstairs.

Currently rented for $1050 down and $1350 up for a total of $2400

Taxes are $8,300

Tenants pay their own utilities (separate meters).

Upstairs is a Section 8 tenant who just got their lease renewed on 7/1.  Their contribution is $116 per month, and they pay their part every month on time.

Updates were done in 2013 including new roof, new kitchens and new laminate flooring.

The wholesaler is asking $107,500.  Tax assessed value is $168,200.  Similar properties are listed at $150,000+.

I was thinking of ordering a quick BPO to get a better idea from a local agent, but I feel it would easily sell for $140,000.

It looks like I would have two good strategies with this one; 1) Purchase all cash, then sell it normally for a small profit, or 2) purchase, and refinance and keep renting it out for rental income.

Anyone have some suggestions or thoughts?

I don't have the full cash purchase price on hand, so I'm also wondering if this would make a good partnership opportunity.

Thanks all!